STAT 203

STATISTICAL M1: INTRO TO STATISTICAL CONCEPTS

ANALYSIS with
SOFTWARE
APPLICATION

RUMEL ANGELO T. ALFARO

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 COURSE OUTCOME & TOPICS

Where we’re going… Topics

STAT 203
• Introduce the field of statistics and • Definitions and Terminology (1.1)
its different terminologies
STATISTICAL
• Demonstrate how statistics applies • Role of Statistics in Business (1.2)
ANALYSIS with
to business
SOFTWARE • Statistical Methodology (1.3)
APPLICATION • Introduce the language and
methodology of statistics and the • Qualitative and Quantitative Variables (1.4)
key elements of any statistical
problem • Discrete and Continuous Variables (1.5)
• Differentiate different variable types • Levels of Measurement (1.6)
• Identify the different levels of
measurement

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 WHAT IS STATISTICS?

STAT 203 • Statistics is the science of collecting, organizing, summarizing, and

analyzing data to draw conclusions or answer questions. In addition,
STATISTICAL statistics is about providing a measure of confidence in any
ANALYSIS with conclusions.
SOFTWARE
APPLICATION • The DIKW diagram will show you how we are transforming data in
developed decisions and practices.

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 THE DIKW DIAGRAM

STAT 203 I better stop

the car!
STATISTICAL
ANALYSIS with The traffic light that
SOFTWARE I am driving towards
has turned red
APPLICATION
South facing traffic
light on cor. Teresa
St. and Old Sta.
Mesa St. turned red

Red, Circle,
Stoplight, South,
Streets
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 ROLES OF STATISTICS IN BUSINESS

STAT 203 • Business analytics refers to methodologies (e.g., statistical methods) that
extract useful information from data in order to make better business
STATISTICAL decisions.
ANALYSIS with • Statistical thinking involves applying rational thought and the science of
SOFTWARE statistics to critically assess data and inferences. Fundamental to the thought
APPLICATION process is that variation exists in populations and process data.

What happened? Why did it happen? What will happen? How will we make
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 DESCRIPTIVE & INFERENTIAL STATISTICS

Data can be used in different ways. The body of knowledge called

STAT 203 statistics is sometimes divided into two main areas, depending on how
data are used. The two areas are the Descriptive statistics and
STATISTICAL Inferential statistics.
ANALYSIS with
SOFTWARE
1. Descriptive statistics is used to summarize or describe the important
APPLICATION
characteristics of a known set of population data.
2. Inferential statistics involves the use of sample data to make inferences
about a population. It goes beyond mere description.

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 DESCRIPTIVE & INFERENTIAL STATISTICS

Indicate whether each of the following statements is a descriptive or inferential

STAT 203 statistics:
1. Last school year, the ages of students at PUP Senior High School
STATISTICAL are 15 to 18 years old.
ANALYSIS with 2. A politician wants to determine the total number of votes his
SOFTWARE
rival obtained in the past election based on his copies of the tally
APPLICATION
sheet of electoral returns.
3. A recent study showed that eating garlic can lower blood
pressure.
4. A survey says that 1 out of 50 Filipinos is a member of a fitness
center.

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 SETS IN STATISTICS

• Universe is the set of all entities under study. Universe: Entire Human Species
STAT 203
• Population is the set of all possible values of the variable. It is Population: ALL Filipinos
the complete collection of elements (scores, people, Variable: Smokers
STATISTICAL measurements, and so on) to be studied. The collection is
ANALYSIS with complete in the sense that it includes all subjects to be studied.
SOFTWARE
• An individual is a person or object that is a member of the
APPLICATION
population being studied.
• A variable is a characteristic or attribute that can assume
different values.
• Sample is a sub-collection of elements drawn from a
population.
Sample: 500 Filipino Smokers
Individual: A Filipino Smoker
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 PARAMETER & STATISTIC

STAT 203 • Parameter is a numerical measurement describing some characteristic

of a population.
STATISTICAL
ANALYSIS with • Statistic is a numerical measurement describing some characteristic of a
SOFTWARE sample.
APPLICATION
Measurement Parameter Statistic

Mean 𝜇 𝑋ത
Standard Deviation 𝜎 𝑠
Variance 𝜎2 𝑠2

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 STATISTICAL METHODOLOGY

STAT 203

STATISTICAL
ANALYSIS with Collect the information Organize and
Identify the research Draw conclusion from
SOFTWARE objective
needed to answer the
questions.
summarize the
information
the information.
APPLICATION
A researcher must This step is vital to the Descriptive statistics allows In this step the information
determine the question(s) statistical process, because if the researcher to collected from the
he or she wants answered. the data are not obtain an overview of the sample is generalized to the
The question(s) collected correctly, the data and can help population.
must clearly identify the conclusions drawn are determine the type of Inferential statistics uses
population that is to be meaningless. Do not statistical methods the methods that takes
studied. Identify the research overlook the importance researcher should use. results obtained from a
objective. of appropriate data sample, extends them
collection. to the population, and
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 QUALITATIVE & QUANTITATIVE VARIABLES

STAT 203 Data can be classified as qualitative or quantitative.

• Qualitative variables are variables that can be placed into distinct
STATISTICAL categories, according to some characteristic or attribute. For example, if
ANALYSIS with subjects are classified according to gender (male or female), then the variable
SOFTWARE gender is qualitative. Other examples of qualitative variables are religious
APPLICATION preference and geographic locations.
• Quantitative variables are numerical and can be ordered or ranked. For
example, the variable age is numerical, and people can be ranked in order
according to the value of their ages. Other examples of quantitative variables
are heights, weights, and body temperatures.

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 QUALITATIVE & QUANTITATIVE VARIABLES

STAT 203 Classify whether the following variables is either qualitative or quantitative:
1. Number of bicycles sold in 1 year by a large sporting goods store.
STATISTICAL
ANALYSIS with 2. Colors of baseball caps in a store.
SOFTWARE 3. Time it takes to cut a lawn.
APPLICATION 4. Capacity in cubic feet of six truck beds.
5. Classification of children in a day care center (infant, toddler, preschool).
6. Weights of fish caught in Pasig River.
7. Marital status of faculty members in a large university.

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 DISCRETE & CONTINUOUS VARIABLES

STAT 203 Quantitative variables may be further classified into:

• A discrete variable is a quantitative variable that either a finite number of
STATISTICAL possible values or a countable number of possible values. If you count to get
ANALYSIS with the value of a quantitative variable, it is discrete.
SOFTWARE
APPLICATION • A continuous variable is a quantitative variable that has an infinite number
of possible values that are not countable. If you measure to get the value of a
quantitative variable, it is continuous.

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 DISCRETE & CONTINUOUS VARIABLES

STAT 203 Classify each as discrete or continuous variable:

1. Number of doughnuts sold each week by Dunkin Donuts.
STATISTICAL
ANALYSIS with 2. Water temperatures of six swimming pools on a given day.
SOFTWARE
3. Weights of cats in a pet shelter.
APPLICATION
4. Lifetime (in hours) of 12 flashlight batteries.
5. Number of cheeseburgers sold each day by a hamburger stand at PUP

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 LEVELS OF MEASUREMENT

Ratio Data
Ratio level of measurement is the interval level modified to include the inherent
STAT 203 zero starting point. For values at this level, differences and ratios are meaningful.

STATISTICAL Interval Data

ANALYSIS with Interval level of measurement is like the ordinal level, with the additional property
SOFTWARE that meaningful amounts of differences between data can be determined. However,
there is no inherent (natural) zero starting point.
APPLICATION
Ordinal Data
Ordinal level of measurement involves data that maybe arranged in some order,
but differences between data values either cannot be determined or are
meaningless.

Nominal Data
Nominal level of measurement is characterized by data that consist of names,
labels, or categories only. The data cannot be arranged in an ordering scheme.
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 LEVELS OF MEASUREMENT

Classify each as nominal, ordinal, interval or ratio-level data:

STAT 203 1. Student number
2. Manufacturing order of a group of computers
STATISTICAL
3. A rating, on a scale of 1-10 on a job performance
ANALYSIS with
4. IQ of a student
SOFTWARE
APPLICATION 5. Salary of an employee
6. Final grade (1.00, 1.25, 1.75, ..., 5.0)
7. Weight of boxers in a match
8. Cars described as subcompact, compact, medium or full-size.
9. Personality type (introverted, shy, friendly or assertive)
10. One person is 25 miles ahead of another in a race

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 STAT 203

STATISTICAL QUESTIONS?
ANALYSIS with
SOFTWARE
APPLICATION
You may reach at the ff channels during Consultation Hours:

• Google Classroom
• Microsoft Teams

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